Did you know that 97 percent of all home insurance claims in 2020 were property damage claims?
This is what a lot of homeowners use their insurance policies to cover, but there are other types of home insurance on the market. They cover everything from your personal property to injuries that happen on your property.
Read on to learn all about the different types of home insurance you can choose from.
This type of policy offers the most basic coverage. It covers only the structure of your home, attached structures, appliances, and other features like flooring. It doesn't include personal property, liability, or living expenses.
HO-2 policies cover your home and any personal property. In some circumstances, they can also include liability, but you'll have to talk to your agency to learn.
This is the most common type of coverage. It includes your home, personal property, additional living expenses, and also medical payments. It gives you open perils coverage, so your home is covered unless explicit exceptions are stated.
HO-4 insurance is also known as renter's insurance. It's intended for renters who want to cover their personal property, along with liability or living expenses. It does not, however, cover the external structure of the building.
This is the most comprehensive coverage available. You'll have coverage for your home, personal belongings, liability, living expenses, and also medical expenses for others. You can also choose a higher limit for things like jewelry or other valuables.
HO-6 insurance is specifically for condo owners.
It covers everything inside your unit, along with living expenses and personal liability. You might also have dwelling coverage, as some owners are responsible for the interior walls of their units. For the other parts of the structure, the condo association will have its own coverage.
This policy covers manufactured and mobile homes.
With this coverage, the exterior of your home is covered under an open perils policy (things not named in your policy), while the interior of your home is covered under a named perils policy.
Finally, the HO-8 policy. This one is best for older homes or ones that would be harder to replace in case of emergency, and it's covered under a named perils policy. In most cases, this policy is best for historic landmark homes, or homes built with materials and methods not commonly found today.
With this policy, you'll be covered under a named perils policy, which includes natural disasters, but also vandalism or theft.
No matter what type of home insurance you opt for, it's important to ensure you get the right coverage. Getting several quotes and working with the right company is a great place to start, but remember that you can change things as your needs change. Be sure to check on your policy every once in a while to ensure you're still getting the best coverage.
If you're ready to get started, check out our tool to get your free quote today.
